Today's topics include an eye on France, Fedspeak confirms wait & see approach, volatility, quantifying the cost of high inflation, Gen Z's investing style, stock returns after the first rate cut, Gamestop, today's stories on stock market concentration, China's attempts to prop up its stock market, private credit, and the household vs. establishment employment surveys
Many argue about the formation of bubbles and the subsequent popping of bubbles. The truth is they are an extension of human psychology rather than a fixture of financial markets.
Today's topics include do higher rates hurt or help the economy?, the Fed can influence rates by setting expectations, the pain of a recession vs. the pain of inflation, the BoJ to cut back on bond purchases, money market funds continue to attract cash, the art of stockpicking, investing during times of low volatility, and the magnificent one?
52% of households owning mutual funds make more than $100k per year.
Active equity mutual funds continue to charge more than 10x the fees of passive equity mutual funds.
Domestic equity index funds with the lowest fees saw the large majority of inflows in 2023.
42% of U.S. households own an IRA. The difference in ownership between the highest and lowest income buckets is staggering.
Equity ETFs accounted for 30% of stock market volume in the U.S. in 2023.
A look at the holdings of government-only money market funds versus prime money market funds
A long-term look at border crossings